XRP is facing its strongest derivatives selling pressure of 2026, according to CryptoQuant, after Binance's net taker volume dropped to around -$96 million. The pullback followed a near-70% rally over two weeks, and around $20 million in leveraged long positions were liquidated as the token fell back toward $1.43. Spot demand has stayed resilient, with U.S. XRP ETFs logging nine straight days of net inflows.
XRP Rally Draws Heavy Leveraged Betting
XRP climbed nearly 70% over two weeks, rising from below $1 to a January high of $1.70. It gained nearly 20% in the past week alone. CryptoQuant analyst Darkfost also noted that the broader Total 2 crypto market cap added more than $183 billion in just a few days.
As the price rose, futures activity followed. Open interest jumped more than 34%, reaching around $3.45 billion to $3.66 billion. Binance's leverage ratio climbed to 0.21, its highest level in seven months. That combination shows more traders taking larger leveraged positions as XRP kept rising.
Long Traders Face a Sharp Squeeze
The buildup in leverage has now turned against XRP. Binance's net taker volume fell to around -$96 million, the strongest selling pressure seen in 2026, a negative reading that signals more aggressive sellers stepping in. As XRP started falling, traders holding large leveraged long positions were forced to close them, adding further selling pressure and triggering a long squeeze.
Around $20 million in positions were liquidated as XRP moved back toward $1.43. Darkfost said this makes XRP's current pullback its strongest derivatives selling pressure of 2026.
ETF Inflows Keep Offering Support
Despite the heavy derivatives selling, spot demand for XRP has stayed strong. U.S. spot XRP ETFs recorded nine straight days of net inflows through August 26, adding another $28.14 million in the latest session. Total ETF inflows have now reached nearly $1.62 billion. Bitwise's XRP ETF alone brought in $13.12 million.
The $1.40 level has become the key line for XRP. If buyers keep absorbing the selling there, short sellers could be forced to close their positions, which may give the token another push higher.
Source: Coinpedia Fintech News
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